HDFC Bank leadership: Ex-SBI chairman Dinesh Khara being considered for MD, CEO role, says report

HDFC Bank leadership: Former State Bank of India chairman Dinesh Kumar Khara is reportedly being considered by the HDFC Bank board to succeed Sashidhar Jagdishan as MD & CEO. The bank has started the process of finding its next chief.

According to a report in CNBC-TV18 that cited sources, Khara, 65, was also approached for the position of part-time chairman after Atanu Chakraborty stepped down in March but declined the offer. Rajiv Kumar was appointed to the role instead.

The bank is also considering other former and current SBI managing directors as potential candidates, given their experience in managing large banks.

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Khara served as SBI chairman from October 7, 2020, to August 28, 2024. When asked about his possible consideration for the HDFC Bank post, Khara told the news site that he had “no clue”.

HDFC Bank announced over the weekend that Jagdishan would not seek reappointment as MD & CEO after his current tenure ends on October 26. Both internal and external candidates are being considered.

Brokerages favour Kaizad Bharucha

While Khara is among the external names being considered, brokerages largely back HDFC Bank Deputy Managing Director Kaizad Bharucha as the leading internal candidate.

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Nomura said Bharucha, who has been with HDFC Bank for 26 years and has served as an executive director since 2014, remains a prime candidate due to his experience managing diverse portfolios. However, his tenure as a whole-time director would leave him with roughly 2.5 years before reaching the Reserve Bank of India’s 15-year board membership limit in 2029, which may require exceptional approval for a full three-year tenure.

Nomura also identified K Balasubramanian, CEO of Citi India and a former HDFC Bank corporate banker, and Hitendra Dave, CEO of HSBC India, as potential external candidates.

MOFSL said the bank could also consider V Srinivasa Rangan, its current executive director and former HDFC Ltd CFO, and Jimmy Tata, chief credit officer who has been with the bank for more than 30 years. Rangan’s age of 66 could limit his tenure due to the 70-year maximum age cap for an MD.

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Nuvama Institutional Equities sees Bharucha as the top candidate, saying his appointment could enable faster normalisation while giving the board time to identify and groom a long-term successor.

Ashika Institutional Equities also considers Bharucha the frontrunner among internal candidates.